CHAMPALAL CHOUDHARY THROUGH L/H MANISH CHOUDHARY,INDORE vs. ITO-3(4), INDORE

आदेश / O R D E R

Per B.M. Biyani, A.M.:

Feeling aggrieved by appeal-order dated 30.10.2023 passed by learned Commissioner of Income-Tax (Appeals)-NFAC, Delhi [“CIT(A)”], which in turn arises out of assessment-order dated 15.11.2019 passed by learned ITO,3(4),Indore [“AO”] u/s 147 read with section 144 of Income-tax Act, 1961 [“the Act”] for Assessment-Year [“AY”] 2012-13, the assessee has filed this appeal.

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Late Shri Champalal Choudhary, Through Legal Heir Shri Manish Choudhary, Indore. ITA No. 553/Ind/2023 - AY 2012-13

147 on the basis of information of sale of an immovable property for Rs.

2,07,52,000/- by assessee during the relevant year. Ultimately, the AO

passed assessment-order u/s 144 due to non-compliances of notices by

assessee. In the assessment-order so made, the AO assessed entire sale

consideration of Rs. 2,07,52,000/- as taxable income of assessee. During

first-appeal, the CIT(A) dismissed assessee’s appeal through ex-parte order

due to non-prosecution by assessee. Ld. AR submitted that the income

assessed by AO and upheld by CIT(A) is not in accordance with law because

of two-fold reasons, (i) the impugned property sold by assessee was a rural

agricultural land which was not a capital asset u/s 2(14) and therefore the

sale transaction done by assessee was not taxable, and (ii) alternatively, the

AO is wrong in taxing entire sale consideration as income without giving

deduction of costs incurred by assessee and without giving benefit of

exemption u/s 54B. Referring to assessment-order, Ld. AR also pointed out

that the AO has made assessment-order as “Non-PAN” case whereas the

assessee was having PAN. Lastly Ld. AR submitted that the assessee has

also expired in Covid period. In these circumstances, Ld. AR urged, to

remand this matter back to the AO for a consideration and adjudication

afresh after hearing the assessee. Ld. AR submitted that given the

opportunity, the assessee is ready to make representation before AO. Ld. DR

showed no objection but requested to remand this matter to Jurisdictional

Assessing Officer so that an apt assessment can be made. Further, he

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Late Shri Champalal Choudhary, Through Legal Heir Shri Manish Choudhary, Indore. ITA No. 553/Ind/2023 - AY 2012-13

requested to direct the assessee to represent his case before AO and do not

seek unnecessary adjournments. In view of this and also having regard to the principle of natural justice and fair play, we deem it fit to give one more opportunity to assessee so that the assessee can represent his case before AO for a proper adjudication. Accordingly, we remand this matter back to the file of Jurisdictional AO for a fresh adjudication after giving opportunity

of hearing to assessee. The assessee is also directed to ensure participation in the hearings fixed by AO and do not seek unnecessary adjournments.

purpose.

Order pronounced in open court on 15.04.2024

Sd/- sd/- (VIJAY PAL RAO) (B.M. BIYANI) JUDICIAL MEMBER ACCOUNTANT MEMBER Indore िदनांक /Dated : 15.04.2024 CPU/Sr. PS Copies to: (1) The appellant (2) The respondent (3) CIT (4) CIT(A) (5) Departmental Representative (6) Guard File By order UE COPYAssistant Registrar Income Tax Appellate Tribunal Indore Bench, Indore

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